To apply for forbearance, contact your loan servicer directly, explain your financial hardship, and ask what relief options are available. The process is simpler than most borrowers expect: for mortgages, it often starts with a single phone call. For other debts like auto loans and credit cards, the approach is similar, though the terms and options vary by lender.
How Mortgage Forbearance Works
Mortgage forbearance lets you temporarily pause or reduce your monthly payments while you deal with a financial hardship. Common qualifying situations include job loss, unexpected medical costs, and home damage from a natural disaster. Forbearance doesn’t erase what you owe. Instead, it buys you time to get back on your feet, with the missed payments addressed later through one of several repayment options.
Some servicers require you to request forbearance within a specific window after the hardship event, so acting quickly matters. Interest typically continues to accrue during the forbearance period, which means the total amount you owe will grow even though you’re not making payments.
Steps to Request Mortgage Forbearance
Start by calling your mortgage servicer. This is the company you send your monthly payment to, which may or may not be the same company that originally gave you the loan. You can find the servicer’s contact information on your monthly statement or by logging into your mortgage account online.
When you call, explain your situation honestly. Tell them what’s causing the hardship, whether it’s a layoff, a medical emergency, reduced income, or something else. Then ask specifically about forbearance or hardship assistance programs. Before you hang up, make sure you understand three things: exactly how much you’ll owe during the forbearance period, how interest will accrue while payments are paused or reduced, and how you’ll be expected to repay the missed amounts once the forbearance ends.
Write down the name of the representative you speak with, any case or reference numbers, and the date of your call. If your servicer agrees to forbearance, ask them to send the agreement in writing so you have a clear record of the terms.
Documentation You May Need
Some servicers approve forbearance based on a phone conversation alone, especially during widespread emergencies or federally declared disasters. Others will ask you to submit documentation proving your hardship. Common requests include recent pay stubs or proof of income, bank statements, a written explanation of your hardship (sometimes called a hardship letter), and documentation related to the event itself, such as medical bills, a layoff notice, or insurance claims for property damage.
Include your name and loan account number on anything you submit. If your servicer has an online portal, you can often upload documents there. Otherwise, ask for a fax number or mailing address and keep copies of everything you send.
What Happens When Forbearance Ends
The biggest question borrowers have is what they’ll owe once the forbearance period is over. You won’t necessarily be hit with a massive lump sum. For most government-backed loans, including those backed by Fannie Mae, Freddie Mac, FHA, USDA, and VA, your servicer cannot require you to repay all missed payments at once. Instead, you’ll typically choose from one of several options depending on your financial situation at that point.
If you can afford to pay a bit more than your regular monthly payment for a few months, a repayment plan spreads the missed amount across future payments. If you can resume your normal payment but can’t pay extra, a deferral or partial claim moves the missed payments to the end of your loan, so you don’t repay them until you refinance, sell, or pay off the mortgage. If your financial situation has permanently changed and you can no longer afford your original payment, a loan modification restructures your loan to lower the monthly amount, though it may extend how long you’re paying. And if you’ve recovered enough to pay everything back at once, reinstatement lets you do that in a lump sum.
Your servicer should walk you through these options before your forbearance period ends. If they don’t reach out, contact them proactively. Letting the forbearance expire without a plan in place can lead to missed payments and potential default.
Applying for Auto Loan Forbearance
Auto lenders don’t always use the word “forbearance,” but many offer similar relief. The process starts the same way: call your lender and explain your situation before you fall behind. Reaching out early gives you more options than waiting until you’ve already missed a payment.
Your lender may offer to change your payment due date if a timing mismatch is the issue, set up a payment plan to help you catch up on missed payments, or grant a payment extension that defers one or two monthly payments to a later date. With extensions, some lenders defer the entire payment while others only defer the principal and still require you to cover interest each month. Lenders also vary on how many times you can use a deferral, and some won’t offer one if you’re already behind.
Refinancing is another route. A lower interest rate or longer loan term can reduce your monthly payment, though extending the term means you’ll pay more overall. When you speak with your lender, get the representative’s name and ID number, note any case numbers, and request written confirmation of whatever you agree to.
Credit Card Hardship Programs
Credit card issuers often have hardship programs that can temporarily lower your interest rate, reduce your minimum payment, or pause collections activity. These programs aren’t widely advertised, but most major issuers offer them. Call the number on the back of your card, ask to speak with someone in the hardship or financial assistance department, and explain what you’re going through. The issuer will typically review your account and propose terms. As with any agreement, get the details in writing before you rely on them.
Tips for a Smoother Process
Contact your servicer or lender before you miss a payment. Borrowers who reach out proactively almost always have more options than those who wait until they’re already in default. Have your account number ready when you call, along with a clear explanation of your hardship and any supporting documents you can gather.
Keep detailed records of every interaction. Note the date, the representative’s name, what was discussed, and what was agreed to. If a servicer promises forbearance verbally, follow up in writing (even a simple email summarizing the call) and request written confirmation of the terms. Verbal agreements are hard to enforce if something goes wrong later.
Finally, understand that forbearance is a pause, not forgiveness. The money you don’t pay during forbearance still needs to be addressed eventually. Knowing your repayment options ahead of time helps you plan so you’re not caught off guard when the relief period ends.